Notice 2023-63, which was released on September 8 and can be found in the 2023-39 Internal Revenue Bulletin, marks the initial substantial guidance regarding the modifications to section 174. These changes were introduced as part of the Tax Cuts and Jobs Act with the intention of funding other tax reductions.
A&M Tax with co-host Wolters Kluwer recently held a Virtual Coffee Talk (VCT) discussing key takeaways from Notice 2023-63, including potential issues that could arise, surprising inclusions, and whether taxpayers should plan to rely on the Notice before regulations are promulgated.
During the session, Kathleen King, Managing Director at A&M Tax, shared her perspectives on the new software development rule within the guidance. Her insights on Section 41 and Section 174 have been recently quoted in Tax Notes. To gain a deeper understanding, click here:
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